Poland Carbon Counts in Construction

One of the tools used to assess this is LCA (Life Cycle Assessment), which measures a building’s environmental impact from the production of construction materials and the building process through to operation, demolition and waste management.

According to WPIP Construction, environmental data is increasingly influencing design decisions and tender preparation. Energy consumption, operating costs, the carbon footprint of materials, whole-life emissions, durability, recyclability and Environmental Product Declarations (EPDs) are all becoming more important.

Just a few years ago, questions about a building’s carbon footprint mainly came up in discussions about sustainability certification. Today, they are increasingly part of the commercial conversation with investors, who need contractors capable of meeting regulatory requirements, financing conditions and market expectations. Contractors must be able not only to deliver projects efficiently and to a high standard, but also to propose changes that improve the building’s energy and material performance and demonstrate its environmental impact over its entire life cycle.
Krzysztof Kowalski, director of tendering and planning at WPIP Construction.

LCA moves earlier in the investment process

Regulatory changes are an important driver. The revised Energy Performance of Buildings Directive (EPBD) requires the calculation and disclosure of a new building’s global warming potential over its life cycle (life-cycle GWP) for buildings with more than 1,000 sq m of useful floor area from 2028. From 2030, the requirement is expected to apply to all new buildings.

Life-cycle GWP includes emissions not only from energy used during a building’s operation, but also from the production and transport of materials, construction, replacement of components and demolition.

This changes the way we look at a project. If we assess a building solely on the basis of construction cost, we may choose a solution that is cheaper upfront but less favourable over its entire life cycle. LCA also allows us to compare materials, their origin, environmental performance, durability and potential for reuse. That means key design decisions have to be made much earlier.
Estera Górska, head of investment preparation and contracting at WPIP Construction

For large industrial facilities, particular attention needs to be paid to materials used in the greatest quantities, especially steel and concrete. Environmental data provided by manufacturers, including EPDs, is also becoming increasingly important.

Balancing cost and emissions

A lower carbon footprint does not automatically mean choosing a more expensive material. According to WPIP Construction, the objective is to find the right balance between construction cost, technical performance, environmental impact and operating costs.

For steel, this could mean using a product with a lower carbon footprint or a higher recycled content. For concrete, it could involve lower-emission production technologies. Energy-related measures can include renewable energy sources, energy management systems and improvements to the building’s own performance.

The aim is not to select the most expensive material, but to find the solution that offers the best overall balance between cost, technical performance and environmental impact.

Our job is not simply to replace one material with another because one is considered greener. We first need to assess the project as a whole. If a lower-emission solution increases construction costs by a certain amount, the investor needs to understand what environmental and economic benefits they are getting in return. Only then can they make a rational decision.
Estera Górska

Banks are paying closer attention to ESG data

Banks and investors are also paying greater attention to ESG-related risks when assessing property assets. Guidelines issued by the European Banking Authority on ESG risk management cover, among other things, risks associated with the transition to a climate-neutral economy.

This does not mean that financing for every industrial facility depends on its LCA results. Environmental performance is, however, becoming part of the broader assessment of an asset’s risk and future competitiveness.

Financial investors are increasingly looking at property as an asset that will remain in operation for decades. If regulations, energy costs, taxes or tenant expectations change, a building’s environmental performance can affect its attractiveness and investment risk. We are therefore seeing LCA data requirements emerge earlier in the process, including when contractors are being selected. We can have the greatest impact when we work under a design-and-build model, when the investor still has greater flexibility to make changes and there is more time to incorporate them.
Krzysztof Kowalski

Price still matters — but it is no longer enough

Construction cost will remain a fundamental criterion, but investors are increasingly likely to compare bids based on energy consumption, operating costs, material-related emissions, durability and environmental performance over the building’s life cycle.

This is changing how both investors and contractors approach project preparation and tendering. Environmental criteria need to be considered at the design and tender-preparation stages, rather than being addressed only during certification or reporting.

In the coming years, the importance of the lowest price in winning tenders will be redefined. Investors will want to know exactly what they are getting for that price and what the consequences of their decision will be over the following decades of the building’s operation. LCA and carbon-footprint expertise is becoming part of investment preparation. As a general contractor, we already prepare CAPEX and OPEX analyses for our clients, helping them make informed decisions while positioning us as a reliable and credible partner in designing and delivering their projects.
Krzysztof Kowalski